World’s Richest Lose $9 Billion as Global Markets Decline

By Devon Pendleton -
Apr 5, 2012

The 20 wealthiest people on Earth
lost a combined $9.1 billion this week as renewed concerns that
Europe’s debt crisis might worsen drove the Standard & Poor’s
500 Index to its largest decline of 2012.

Mexican Carlos Slim’s fortune fell by $1.5 billion during
the week as shares of his telecom operator, America Movil SAB,
dropped 2.2 percent through April 4. Mexican markets were closed
yesterday for the Holy Thursday holiday. The 72-year-old remains
the richest person in the world, with a net worth of $69.2
billion, according to the Bloomberg Billionaires Index.

“This is a little bit of a reality check,” Leo Grohowski,
chief investment officer for New York-based BNY Mellon Wealth
Management, said in a telephone interview. “The super wealthy
are among the most cautious investors in the world. Skepticism
is still high, and they are feeling very, very nervous.”

Global markets retreated this week as demand fell at a
Spanish bond auction and minutes from the U.S. Federal Reserve’s
latest policy meeting indicated that it isn’t ready to provide
more monetary stimulus. The Standard & Poor’s 500 Index fell 0.7
percent, to 1398.08, its third weekly decline of 2012. The STOXX
Europe 600 lost 1.6 percent to close at 259.07.

Li Ka-Shing, Asia’s second-richest person, lost $144
million during the week. Shares of his port operator, Hutchison
Whampoa Ltd., dropped 1.1 percent in yesterday’s Hong Kong
trading, leading the Hang Seng Index to its fifth decline in six
days. Li, 83, ranks 15th on the index with a $23.8 billion
fortune.

Batista, Ortega

Brazilian Eike Batista’s net worth fell $574.4 million this
week as shares of OGX Petroleo & Gas Participacoes SA dropped 3
percent during the week. On April 4, International Business
Machines Corp., the world’s largest computer-services provider,
bought a 20 percent stake in Batista’s technology unit, SIX
Automacao. The two companies will set up a technology center to
serve customers in Brazil, Chile, Colombia and Peru.

Batista, whose fortune rose $7.2 billion last week after
the 55-year-old sold a 5.6 percent stake in his commodities
empire, ranks 10th on the index. His net worth of $33.5 billion
is up 49 percent year to date.

Spanish retail tycoon Amancio Ortega, 76, saw his fortune
fall $1.2 billion to $39.4 billion as shares of his Industria de
Diseno Textil SA, owner of the Zara fashion chain, lost 0.3
percent in Madrid trading during the week. Spain’s Ibex stock
index slid to a seven-month low in intraday trading yesterday
amid concerns that the country may require international aid to
meet deficit targets.

Microsoft Corp. co-founder Bill Gates, 56, is second on the
index with a net worth of $63.2 billion, down $558.1 million for
the week. Warren Buffett, 81, is third with $45.2 billion. The
world’s three richest people have gained a combined $17.2
billion year to date.